Home / Knowledge / News / Apparel/Garments / Retailers choose sides in Alibaba-Tencent battle in China
Retailers choose sides in Alibaba-Tencent battle in China
24
Feb '18
Two big Chinese firms— Alibaba Group Holding Ltd and Tencent Holdings Ltd — are reportedly on a retail investment spree in battle mood, resulting in merchants having to choose sides. The clash, which began in early 2017, has seen the two firms spending more than $10 billion on retail-focused deals, boosting their reach online and in brick-and-mortar stores.

The two firms are competing in payment, logistics, social media and big data services. Retailers are worried that if they do not take sides, they may perish in future, according to a report by CNBC.com.

Alibaba is the country’s biggest player in e-commerce player and its sister concern Ant Financial leads in mobile payments. Tencent is a big player in social media, digital payment and gaming and has a huge stake in the second-largest online retailer JD.com.

French grocer Carrefour SA and US retail giant Walmart are allies of Tencent and JD.com. Tencent also has a stake in Yonghui Superstores Co Ltd, apparel retailers Vipshop Holdings Ltd and Heilan Home, mall operator Wanda Commercial.

Alibaba has invested heavily in Suning.com>, Intime Retail, Sanjiang Shopping Club, Lianhua Supermarket, Wanda Film and home improvement store Easyhome.

In China's $13-trillion mobile payment market is a key battlefield for the two. Ant operates China's top mobile payment platform, Alipay, while Tencent's payment system on its popular Weixin chat app is catching up fast. Both firms are also making a big push in cloud computing and data.

Both the companies also want a slice of the brick-and-mortar store segment in China that accounts for about 85 per cent of retail sales. The stores benefit like access to payment systems, logistics networks and consumer data maintained by these companies.

Alibaba invested $486 million recently in a retail-focused big data firm with an aim to capture brick-and-mortar retailers in the digital age. (DS)

Fibre2Fashion News Desk – India


Must ReadView All

Pic: Shutterstock

Apparel/Garments | On 24th Feb 2020

Myanmar's garment units risk closure due to virus impact

Myanmar's garment factories are facing the risk of shutdown as the...

Pic: Shutterstock

Apparel/Garments | On 24th Feb 2020

GMAC urges EU to restore full EBA rights for Cambodia

Expressing disappointment over the recent European Union (EU)...

Pic: Shutterstock

Apparel/Garments | On 24th Feb 2020

Uzbekistan 3rd biggest garment exporter to Kazakhstan

Uzbekistan exported 10,000 tonnes of apparel to Kazakhstan in 2019,...

Interviews View All

Textile industry, Head honchos

Textile industry
Head honchos

Relaxation in FDI norms will support growth of retail sector

Amrit Sethia, SOIE

Amrit Sethia
SOIE

‘The intimatewear category in India is slowly becoming trend-sensitive.’

Representatives, Textile & apparel industry

Representatives
Textile & apparel industry

GST is a complicated and lengthy process

Karen Lou,

Karen Lou

Australia-based Sunseeker has been creating swimwear since 1970. Sunseeker ...

Tina Antoniades,

Tina Antoniades

India-headquartered Lulu & Sky is a rapidly escalating brand with the...

Jason Remnant,

Jason Remnant

<div>Xaar plc develops digital inkjet technology; it designs and...

Johan Berlin, Investkonsult Sweden AB

Johan Berlin
Investkonsult Sweden AB

Investkonsult Sweden AB are consultants in the nonwoven and absorbent...

Ian Russell, Pireta

Ian Russell
Pireta

UK-based Pireta has developed a unique free-form process to add durable,...

Daniel Kaye, RocketLife

Daniel Kaye
RocketLife

<div>RocketLife, an award-winning developer of breakthrough visual...

Chandani Sahi, By Chandani

Chandani Sahi
By Chandani

By Chandani is a womenswear prêt couture brand with fusion silhouettes by...

Rupa Sood and Sharan Apparao, Nayaab

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Samar Firdos, Arvind Ltd

Samar Firdos
Arvind Ltd

<b>Samar Firdos</b>, Chief Manager (Design) at Lifestyle Apparel Denim...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


February 2020

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Advanced Search